Amortization of deferred revenue

hey guys,

i have a question from a friend. Hope u guys can help in answering it!

amortization of deferred revenue shows up under COGS. how does this work? say $10M in revenue that needs to be amortized over 10yrs. how would it show up under income statement?

Let me rephrase: i got 10M in revenue but the service needs to be provided for 10yrs. let's say cost of service is 0.5 per year. so under straight-line amortization, gross profit for every year is 1-0.5 = $0.5

but what is the net rev and the COGS every year?

an answer in the following form would be great

Year 1: Rev = x1 COGs = y1 (of which amortization is z1)

Year 2: Rev = x2 COGs = y2 (of which amortization is z2)